For the first time since 2020, Mark Zuckerberg’s fortune has surpassed Elon Musk’s,
making Zuckerberg the third richest person in the world.
Meanwhile, Musk fell to fourth in the rankings after losing $48.4 billion of his wealth,
partly due to Tesla cancelling a project to develop a lower-cost car—a claim Musk denied.
Tesla’s shares also suffered from a decline in car sales in the first quarter of the year.
On his part, Zuckerberg increased his fortune by $58.9 billion this year,
thanks to the strong performance of Meta Platforms’ shares, allowing him to reach new record levels.
This is the first time Zuckerberg has entered the top three in Bloomberg’s ranking since November 2020.
The competition between Zuckerberg and Musk is not limited to their fortunes but extends to multiple business fields such as artificial intelligence versus electric cars.
The shifts in their fortunes show how technology stocks, especially those related to artificial intelligence,
have recently outperformed the electric vehicle sector.
Tesla
Tesla faces multiple challenges, including a global decline in demand and increased competition,
leading to a sharp 34% decrease in its share value this year.
In contrast, Meta benefited from a 49% increase in its share price,
supported by strong earnings and excitement around its artificial intelligence initiatives.
The competition between Musk and Zuckerberg goes beyond the economic field to personal and public challenges, culminating in Musk’s proposal to face Zuckerberg in a combat duel,
affirming his readiness “to fight anywhere and at any time.”
Musk’s fortune may face further pressure following a judicial decision to cancel Tesla’s huge salary package,
which represented a significant part of his wealth.
Meanwhile, Bernard Arnault and Jeff Bezos continue to occupy the first and second places, respectively,
in Bloomberg’s list of the richest people, with fortunes surpassing both Zuckerberg and Musk.
Tesla Experiences Record Sales Shortfall Impacting Electric Vehicle Market: In a shocking flip of events, Tesla
faced skepticism from Wall Street analysts as the first quarter drew close, leading to lowered delivery forecasts.
However, these adjustments fell significantly short.
Under Elon Musk’s leadership, Tesla reported a mere 386,810 vehicle deliveries in the initial quarter,
falling short of Bloomberg’s average projection by an unprecedented margin based on seven-year data.
This resulted in a 4.9% decrease in Tesla’s stock value on Tuesday in New York,
contributing to a 33% decline in 2024, marking one of the poorest performances in the S&P 500 Index.
The quarter was fraught with challenges. Tesla Initially indicated a considerable slowdown in growth due to rising interest rates,
making its vehicles less accessible to many despite price reductions.
Additionally, the company faced operational disruptions at its Berlin facility.
Musk’s controversial posts on the social platform X potentially deterred potential customers,
while the competition in China’s electric vehicle market intensified.
Decrease in Tesla deliveries.
Contrary to expectations of increased sales compared to the previous year, Tesla’s deliveries saw an 8.5% decrease.
Gene Munster from Deepwater Asset Management commented on the situation as decidedly negative,
highlighting concerns over demand, persistently high interest rates, and the potential impact of Musk’s public image on U.S. sales.
Tesla attributed the downturn partly to the transition to an improved Model 3 sedan version,
which, combined with the Model Y SUV, represented 96% of quarterly deliveries.
The company also mentioned shipping delays related
to the Red Sea and a suspected arson at its German plant affecting production.
Differences between production and delivery
Notably, Tesla produced 46,561 more vehicles than it sold during the quarter,
one of its most significant production-to-delivery disparities.
Despite reducing his sales forecast for Tesla twice in the weeks leading up to the announcement,
Emmanuel Rosner from Deutsche Bank still overestimated
The sales are over 24,000 vehicles, suggesting a potential demand issue.
Tesla, which doesn’t disclose regional sales data, primarily operates in the U.S. and China,
manufacturing various models in California, Shanghai, Austin, and near Berlin.
The recent introduction of the Cybertruck, a stainless steel pickup, adds to its lineup,
However, this model’s specific production and delivery figures are not provided separately.
leading global electric vehicle seller
Despite these hurdles, Tesla regained its position as the leading global electric vehicle seller,
overtaking China’s BYD Co. BYD reported 300,114 battery-electric vehicle
deliveries in the first quarter and 626,263 vehicles, including plug-in hybrids.
Tesla Experiences Record Sales Shortfall Impacting Electric Vehicle Market
Beijing – In an ambitious strategic move, Xiaomi, a leading electronics and smartphone company,
unveiled its plans to enter the competitive electric car market in China.
The company’s stock value rose by 7.5% in the Hong Kong market on Tuesday,
in response to the announcement that Xiaomi will release its highly anticipated electric car from the “SU7” series at the end of this March.
In an innovative strategic step, the company decided to collaborate with the government-owned “Beijing Automotive Group” to manufacture its electric cars,
aiming to avoid delays in obtaining manufacturing permits from local authorities.
This move is part of Xiaomi’s transformation from a leading smartphone company to the automotive industry,
led by the active investor and billionaire, Lei Jun, who is spearheading the campaign to achieve leadership in this field.
Regarding the details of the electric car “SU7,” Xiaomi revealed on the “Weibo” platform that it will be available for sale in 29 cities starting from March 28th.
Despite the sharp rise in the electric car sector in China, with intense competition from companies like Tesla and BYD,
Xiaomi aims to attract attention and compete in this challenging market.
This strategic move is part of Xiaomi’s shift in strategy, considering Lei Jun’s electric car project as another venture in entrepreneurship,
following remarkable success in the smartphone industry.
The Japanese government plans to double its budget reserves to 1 trillion yen ($6.9 billion) in the next fiscal year,
Prime Minister Fumio Kishida said on Sunday.
Kishida announced the plan after visiting a region in northwestern Japan hit by a strong earthquake earlier this month.
Retail sales in America
US retail sales data are expected to be closely watched on Wednesday for signs that consumer spending,
the main driver of economic growth remains resilient amid rising interest rates.
Retail sales are expected to increase by 0.4% in December, after a 0.3% increase in November.
Data on housing starts and existing home sales are expected to reveal difficulties facing
the housing market in the face of rising borrowing costs.
Tesla announces a price reduction for its cars in China
Tesla announced a reduction in the prices of some of its versions in China.
The price of the Model 3 has been reduced by 5.9% to 245,900 yuan (about $34,300).
Model Y’s price has also been reduced by 2.8% from 266,400 yuan to 258,900 yuan.
The price of the Chinese-made Model 3 was reduced to 285,900 yuan,
while the price of the Chinese-made Model Y was reduced to 299,000 yuan.
At the same time, China’s regulatory body announced that Tesla will recall about 1.6 million cars in China
due to problems with the power steering system device. The recall includes Model S, Model 3, Model X and Model Y.
Tesla is working to resolve the issue immediately and plans to release over-the-air (OTA) updates to affected users
Gold rises today and breaks the 2050 barrier
The price of gold rose today, surpassing the $1950 level, and breaching the 2050 levels. Gold is benefiting from some geopolitical turmoil that has arisen in the Red Sea,
with Britain and the United States announcing a continuing campaign of air attacks against the Houthis in the region.
fueled by expectations of an interest rate cut this year, Gold increase
investors are accumulating bets on a 166 basis point cut in interest rates this year, exceeding the 150 basis point cut bets last Friday.
Tesla opens the year with its worst performance: The year 2023 was the best year for Tesla, as the company achieved great success,
and its value doubled within a year, but it seems that the year 2024 will not be as good as 2023 for Tesla,
as the company opened the new year with the worst performance ever.
Tesla lost $98 billion of its market value at the beginning of the year,
which led to Tesla stock being ranked eighth worst-performing after it had been eighth best-performing on the S&P 500 index.
The electric car manufacturer was exposed to a lot of negative news, which led to it losing more than $94 billion in the first two weeks of the year 2024.
The company reduced the prices of its Chinese-made cars in addition to news about labour costs.
The company is also facing a sudden change from the car rental company Hertz Global. Holdings.
And all this is due to the decline in demand for electric cars in the United States.
Jeffrey Osborne, an analyst at Cowen, said that what scares and worries investors most about Tesla is the decline in growth,
what increases these fears is the price reduction in China because it seems like a race to the bottom in the issue of manufacturing electric cars
amid intense competition in the electric car market.”
The largest loss since the IPO
The blow that Tesla received at the beginning of the year is considered the biggest blow
that the company has suffered in a similar period in recent years, since the year 2010 when it went public.
Tesla shares have declined by 12% since the beginning of January,
the worst since 2016, when the company lost 14% of its value in the first two weeks of the year.
What made matters worse is that the prospects for an imminent change in the company do not bode well.
Starting in early 2023, the company reduced car prices to increase demand, but the result was opposite to the company’s expectations.
The company’s gross profit margin decreased in the third quarter to 16.3% compared to 27.9% in the same period last year.
Another thing that exacerbated the problems was that Tesla was forced to change the destination of its shipments
due to tension in the Red Sea and fear of attacks on the shipments.
It also stopped most of the production operations at its factory in Berlin from January 29 until February 11, according to an official statement.
Tesla forecast
Tesla had warned of a decline in demand for electric cars when it issued its third-quarter earnings report,
and then car manufacturers and suppliers around the world expressed their pessimism,
as the majority of electric car manufacturers had retreated from expanding their business.
In December 2023, the company announced car delivery numbers in the fourth quarter.
Although the numbers were more than analysts’ expectations, the company came in second place after the Chinese company BYD in terms of sales of global electric companies.
Elon Musk’s wealth
Elon Musk received a severe personal blow.
The wealth of Elon Musk, the richest man in the world, decreased at the beginning of the year by $23 billion, according to the Bloomberg Rich Index.
Last year, Musk returned to the top of the Bloomberg Wealth Index, surpassing Bernard Arnault,
but it seems that Jeff Bezos is approaching the lead with a wealth worth $179 billion, compared to Musk’s wealth of $206 billion as of Friday.
Elon Musk’s wealth consists of his 13% stake in Tesla, in addition to 304 million exercisable stock options,
in addition to his ownership of 425 shares of SpaceX, which is worth about $53 billion, according to the Bloomberg Wealth Index.
Tesla is in the lead
Despite everything mentioned above, Tesla is still at the forefront of the world’s transition from gas-powered cars to electric cars.
This is because it is superior and advanced over its competitors.
Although China’s BYD surpasses Tesla in car sales, Tesla is still first in terms of profits and revenues,
while Tesla is the leading company in selling electric cars in the United States.
The Chinese company is still outside the United States market, as BYD has not sold any cars in the United States.
For many reasons, one of Tesla’s biggest problems may be the previous success it achieved and the hope resulting from this success.
Because investors accepted Tesla shares, the company’s market value has risen,
making it the largest company in the field of electric car manufacturing compared to the rest of the car manufacturing companies in the world.
Despite the ideal pricing of the stock, it was subject to violent reactions due to negative news.
Many Tesla fans and supporters believe that Tesla cars cannot be compared to traditional cars.
For them, the company’s true and ultimate value is in the future. Tesla is looking to develop the first self-driving car.
The problem is that Tesla has been looking forward to this for years, and according to experts,
developing technology for Autonomous driving takes a lot of time to be ready.
Market Updates and News: The first week of 2024 is full of market updates and Assets volatility, in this report, Evest will provide you with the most important news so you don’t miss the opportunities Here are the latest Market Updates and News of the week
The Federal Reserve kept the fed funds rate steady at 5.25%-5.5% for a third consecutive meeting in December 2023,
in line with expectations but indicated 75bps cuts in 2024.
GDP growth
GDP growth is expected to be higher this year (2.6% vs 2.1% in the September projection),
but slightly lower in 2024 (1.4% vs 1.5%). The US is starting the new year with a lot of red directions as the national debt surpassed $34T for the first time.
Gold News
The Gold prices were down about 1% to $2040 an ounce, dragged down by a stronger dollar Gold kicked off 2024 on a negative note as markets scaled back bets on interest rate cuts from major central banks
Stocks News
Tesla: Tesla Reported Record Deliveries and deliveries in the fourth quarter exceeded Wall Street predictions,
as the global EV giant sold a record-setting number of vehicles and hit full-year expectations.
Chevron: Chevron increased to a 9-week high of 153.07 USD
Coke: Coca-Cola increased to a 17-week high of 60.08 USD.
Airbus: Airbus decreased to a 4-week low of 136.80 EUR.
LVMH: LVMH decreased to a 4-week low of 708.30 EUR.
Cryptocurrency News
Bitcoin and Ether are experiencing declines. Ether has slipped (-6.81%). Bitcoin is down (-5.41%.)
Tesla seeks to expand its appeal after achieving record sales
Tesla expects to achieve a new record annual sales of electric cars in 2023,
after attracting buyers fascinated by Elon Musk and rushing to acquire the latest technological developments.
But in the next phase of growth, Tesla must appeal to traditional buyers,
who choose vehicles primarily based on price and ease of use.
The company faces a number of obstacles to reaching this audience, including inflation and high interest rates,
as well as increasing competition from traditional car companies and Chinese companies.
To confront these challenges, Tesla has taken a number of steps, including lowering prices and introducing new models.
In 2023, the company reduced prices across its lineup of cars, forcing it to sacrifice profit margins for sales volumes.
The company also introduced new models, including the “Model Y Plus” and “Model 3 Plus,” which feature a longer range and advanced technologies.
Results:
Tesla is expected to continue to grow in the coming years,
but it is unclear whether it will be able to maintain its leading position in the electric vehicle market.
It is estimated that the company will sell between 2.2 million and 2.4 million cars in 2024.
But competition from traditional auto companies and Chinese companies is escalating,
which could make it difficult for Tesla to maintain its growth.
Conclusion:
Tesla is seeking to expand its appeal after achieving record sales in 2023.
The company faces a number of obstacles to reaching traditional buyers,
including inflation and rising interest rates, as well as increased competition.
The company has taken a number of steps to address these challenges,
including lowering prices and introducing new models.
Tesla is expected to continue to grow in the coming years,
but it is unclear whether it will be able to maintain its leading position in the electric car market.
Tesla seeks to expand its appeal after achieving record sales
Tesla’s $145 Billion Market Value Decline: Unraveling the Electric Storm
The Global Automotive Upheaval
The automotive industry, a behemoth in the world of commerce, is currently facing a major shakeup. In recent times, Tesla has been making headlines for the wrong reasons. The electric vehicle (EV) giant has lost a staggering $145 billion in market value due to a decline in demand. As a result, the stock has plummeted by 20% since the announcement of third-quarter earnings, casting a pessimistic shadow over the entire automotive sector. Electric vehicles, in particular, find themselves at the epicenter of this financial storm, with warnings and concerns piling up as investors question the company’s ability to stimulate demand.
In this comprehensive article, we will delve deep into this crisis and provide insights that shed light on the current situation. Our goal is to offer a balanced perspective on Tesla’s challenges while remaining optimistic about its future. Let’s navigate through the following topics to gain a holistic understanding of the situation:
The Reasons Behind the Decline
The automotive world has been buzzing with news of Tesla’s $145 billion market value decline. Such a dramatic drop inevitably raises questions about the future of electric vehicles and the automotive industry as a whole. This article aims to provide clarity on the situation, exploring the reasons behind this decline and what it means for Tesla and its investors.
Factors at Play
Tesla’s market value decline can be attributed to a series of interconnected factors, including a dip in consumer demand, third-quarter earnings, and pessimistic market outlooks. This section will dissect each component to understand how they collectively impact Tesla’s financial standing.
Impact on Tesla
As one of the leading players in the electric vehicle industry, Tesla’s market value decline has significant repercussions for the company. We’ll examine how this decline affects its operations, strategies, and long-term goals.
Multifaceted Reasons
A deep dive into the multifaceted reasons behind Tesla’s market value decline is essential. We’ll look at economic, industry-specific, and global factors that have influenced this downturn.
Electric Vehicle Challenges
Electric vehicles are at the heart of this crisis, bearing the brunt of declining cost-bearing capacity. To understand the full picture, we’ll explore the challenges faced by the EV market, which has a direct impact on Tesla’s fortunes.
Tesla’s Resilience
Despite the challenges, Tesla has been known for its innovative spirit and resilience. We’ll explore how the company has navigated past crises and its potential to innovate its way out of this current predicament.
Investor Concerns
Investors are naturally concerned about their financial interests. This section addresses the specific concerns raised by investors in the wake of Tesla’s market value decline.
Shifting Consumer Behavior
Understanding the evolving preferences of consumers is crucial.
We’ll examine how changes in consumer behavior and values influence the demand for electric vehicles and how Tesla is adapting.
Government Regulations
Government policies and regulations play a pivotal role in the electric vehicle industry.
We’ll investigate how these factors impact Tesla’s operations and market outlook.
Competitive Landscape
Tesla is not the sole player in the electric vehicle market.
This section looks at the competitive landscape and how other companies affect Tesla’s market position.
The future holds both challenges and opportunities for Tesla.
We’ll take a forward-looking approach to discuss what lies ahead for the electric vehicle giant.
Conclusion
In conclusion, Tesla’s $145 billion market value decline, while significant, is not insurmountable.
This article has provided a comprehensive view of the situation,
and the FAQs have addressed common queries surrounding this issue.
As the automotive sector continues to evolve,
Tesla’s ability to adapt and innovate will be crucial for its future success.
BP Pulse’s $100 Million Partnership with Tesla for Ultra-Fast EV Charging
In a groundbreaking move, BP (LON:BP) has made a momentous announcement.
On Thursday morning, the oil and gas giant’s EV charging business, bp Pulse,
unveiled a game-changing partnership with electric automaker Tesla (NASDAQ:TSLA).
This deal, valued at an impressive $100 million, will reshape the landscape of electric vehicle charging.
Let’s dive into this exciting development!
BP Pulse’s strategic move to acquire ultra-fast charging hardware
units from Tesla is a testament to the growing importance of electric vehicle infrastructure.
Starting in 2024, Tesla’s cutting-edge chargers will be deployed at key sites across the extensive BP family of brands.
Key Deployment Locations
The first installation sites have been carefully selected to maximize accessibility and convenience for EV users.
These initial locations include major metropolitan areas such as Houston,
Phoenix, Los Angeles, Chicago, and Washington, D.C.
Revamping the Charging Landscape
This collaboration is set to revolutionize the EV charging experience, making it faster and more efficient than ever before. The accessibility of these chargers at key sites will undoubtedly encourage more drivers to switch to electric vehicles,
thus reducing our carbon footprint and benefiting the environment.
Driving the Future
As we look ahead, it’s evident that the automotive industry is undergoing a profound transformation.
With the adoption of electric vehicles on the rise,
this partnership between BP and Tesla couldn’t have come at a better time.
The Tesla Advantage
Tesla’s reputation for innovation and cutting-edge technology makes them the perfect partner for this venture.
Their ultra-fast chargers are known for their reliability and speed, providing an excellent experience for EV users.
Environmental Impact
One of the most significant advantages of this collaboration is the positive impact it
will have on the environment.
By making ultra-fast charging more accessible,
we can expect to see a considerable increase in the number of electric vehicles on the road.
This, in turn, will reduce harmful emissions and help combat climate change.
Conclusion
The collaboration between BP and Tesla to bring ultra-fast charging hardware units to key
sites across the country is an exciting development in the electric vehicle charging landscape.
This partnership will undoubtedly contribute to a greener and more sustainable future
by making EVs more accessible and convenient for everyone.
As we approach 2024, the year this venture takes off,
we can look forward to a significant positive impact on the environment
and the automotive industry as a whole.
New Tesla Truck Compensates for Decline in Profits
Tesla has announced encouraging production expectations for 2023, despite a decline in profits during the last quarter of the previous year, which was lower than expected. The company, led by billionaire Elon Musk, reported a decrease in profits of 66 cents per share, compared to the expected 74 cents per share. Revenues amounted to $23.4 billion, compared to analyst expectations of $24.06 billion.
However, news of the upcoming release of the electric truck “Cybertruck” in the next month has mitigated the impact of this decline. It’s worth noting that this announcement comes after a delay of nearly two years from the original scheduled date.
In addition, the company has revealed its plan to produce and sell approximately 1.8 million cars this year, setting a sales record for the company.
Despite the profit decline, Tesla’s stocks increased by 2.8% in after-hours trading after the company’s announcement of the Cybertruck launch in the coming month, leading to a 2.2% increase in share price at 4:36 PM in New York.
Tesla is currently sacrificing part of its significant profit margins to maintain sales volume.
The company has reduced the prices of many of its cars several times this year, and Elon Musk has expressed his readiness to offer discounts of up to 30% on some of its high-end “Model X” vehicles
, making them more affordable for customers facing rising inflation and interest rates.
This underscores Tesla’s strong commitment to providing high-quality electric cars at reasonable prices for all customers.
In conclusion, this last quarter marks the first under the leadership of the new Chief Financial Officer,
Vaibhav Taneja, who was appointed in August.
Taneja is expected to participate in the company’s investor conference to discuss the company’s results,
challenges, and future opportunities.
